Mortgage News Brief

HAMP Changes Encourage Principal Writedowns

The Obama administration is expanding its flagging HAMP program to address the two main drivers of foreclosures-job loss and underwater mortgages where borrowers owe more on their loan than the property is worth.

New FHA Refi Program Tackles Underwater Mortgages

The Federal Housing Administration is taking another crack at creating a refinancing program that requires principal writedowns and gives investors an option to cut their losses on underwater conventional loans.

California Extends $10,000 Homebuyer Tax Credit

California Gov. Arnold Schwarzenegger has signed legislation that re-establishes and extends the state's $10,000 tax credit for homebuyers, a program that proved so popular last year that it ran out of money by the end of June, eight months before it was set to expire.

Regulators Put Pressure on First and Second Lien Holders

Federal regulators are working on ways to match holders of delinquent and/or modified first mortgages with the holders of seconds in an effort to improve communication between the two parties so they can restructure loans.

Major Banks Summoned to Testify On 2nd Lien Mods

Executive of major banks will be testifying before the House Financial Services Committee soon on their efforts to modify and write down second liens.

Fannie Completes Second Bulk REO Auction of 2010

Fannie Mae recently completed a bulk auction of 212 real estate owned properties, its second such offering of the year.

American General in the Market with Legacy Mortgages

American General Financial Services, a subsidiary of AIG, will be coming out with two deals backed by legacy mortgage assets within the next two weeks.

Michigan Thrift Raising $250MM in Stock Offering

Flagstar Bancorp Inc. has priced a public offering of 500 million shares of common stock at $0.50 per share, which is below the stock's 52-week low.



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